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WorldatWork Regulatory Environments for Compensation Programs Sample Questions:

1. Which of the following statements best describes defined contribution (DC) plans?

A) The employee assumes the risk for the investments.
B) They require complex actuarial calculations and assumptions.
C) They generally provide better benefits to employees with longer service.
D) The benefit is based on a formula that considers pay and service.

2. What are usual, customary and reasonable charges (UCR)?

A) The charges that are published annually in the Global Insurers' Medical Cost Comparison Guide
B) The charges that are typically paid up front by a plan participant for services rendered.
C) The charges that an insurance carrier determines are normal for a particular medical procedure within a specific geographical area
D) The charges that are allowable for any given medical procedure with no pre-treatment authorization

3. What is the term for the skills, technologies, applications and practices of continuous iterative exploration and investigation of past business performance used to gain insight and drive business planning?

A) Statistical analysis
B) Business analytics
C) Business forecasting
D) Predictive modeling

4. Which of the following agencies enforces the FLSA?

A) Equal Employment Opportunity Commission
B) Office of Federal Contract Compliance Programs
C) National Labor Relations Board
D) Department of Labor

5. Which of the following statements best describes defined benefit (DB) plans?

A) Employees are at risk for financial resources.
B) They are often integrated with government-sponsored programs.
C) There is no promise of a specific benefit at retirement.
D) Individual accounts must be maintained for each participant.

Solutions: